Bank Rejected My Federal Tax Refund?

I, too am experiencing the same exact issue as you. I had called Walmart Money Card before ever filing my tax return and told them that the return is a joint return with my Wife's name on it as well; they said that it would not be a problem as long as my name was on the direct deposit as well. I went ahead and put my account & routing number in and filed. My returned was accepted as of 01/25/2012 and WMR stated that my refund would be direct deposited on 02/01/2012. Low and behold, no money in our account. I continued to check and nothing. I then called Walmart Money Card CS and it automatically told me that my refund was rejected and would be returned to the IRS. I spoke to a woman and argued with her for an hour based on what they had told me. She agreed to transfer me to a "Loss Department" in which I had to wait on hold for 25 minutes. Finally getting to talk to someone, she told me that she would issue a request to have the direct deposit examined and if it was addressed to my name as well, they would not send the direct deposit back to the IRS and would credit out account. She also stated that they hold rejected funds for 48 hours after rejection. She told me to call back tomorrow (02/02/2012) to see what they have figured out. It's definitely aggravating being that I inquired about this before doing so and was assured it would be no problems. I even spoke with the IRS and they too were shocked and how insane it was that the refund was rejected based on what had happened.

The short of it, if Walmart Money Card isn't notified about an issue within 48 hours of the rejection of the direct deposit, the funds will be returned to the IRS. After speaking with the IRS, they had informed me that if this does happen, they will cut a paper check and I (should) receive it within 4-6 weeks. I asked if that was just a guideline to go by and perhaps if it happened quicker sometimes and she said no, it usually takes about a month and no sooner. Sorry for the bad news.. I too am extremely aggravated and if tomorrow doesn't bring good news, I'm going to start at the top with Green Dot, GE MoneyBank and Walmart Money Card and let them know what I think.

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RE:
Bank Rejected My Federal Tax Refund?
I called several days ago and spoke with the people at Walmart Prepaid Debit Card and had it set up so that my husband and I both were on the card. Today our Federal Tax Refund was direct deposited and rejected by the bank. When I called the Walmart Prepaid Debit Card people tell me that I was...

I just called the IRS if both names of the joint Federal Refund is on the check and only 1 name is on the checking account it should be rejected by the bank and a IRS will issue a check instead. I have contacted our bank and this is correct. Especially if it is not a joint account. My estranged husband agreed to give me half of our tax refund and now he is refusing to do so. So his checking account has been flaged and it should be returned to IRS. It will take 3 to 6 weeks to get the paper check.

My husband and I filed a joint return for both state and federal. My Walmart Money Card is only in my name, and last week our state was direct deposited on it with no problems. My DD for federal is 2/26 so I'm hoping it will get deposited just as smoothly as my state though I am the only one on the card. Logically why wouldn't state get rejected if the whole lack of a joint account thing was an issue you know? So I am thinking that it will not be a problem but we will see. Can't put anything past the government.

I'm hoping someone has the answer to your question bc my fiance & I have those cards. We are BOTH on the card and yet HIS refund, that was to be dd today, was rejected. This totally screws us. I have to wait about 10 minutes before I can call the Cust Service for the Walmart card and see why they would reject it. We specifically got the "family" card from Walmart months ago so that we both could have access to the card. Almost positive that I will be closing that account now since it doesn't do us any good if we both can't have things dd into the account.

If an ACH deposit is rejected for any reason, the IRS will re-flow your refund for payment by check. Allow 4 to 6 weeks from the original ACH transmission date for the process to complete.

Normally a tax refund deposit should be accepted as long as at least ONE of the names on the transaction matches with the name on the account. A joint account is NOT needed.

If your bank rejected the direct deposit, a paper check will be issued. However, it appears from your question that the bank did not reject it, but instead put it in a different account. Sounds like a problem you should work out with the bank. It will take them at most a day or so to correct it.

That's messed up on Walmart's part. Next time sign up for Visa debit card threw Turbo tax. They offer one.

You will get a check in the mail in about 4 weeks.

Sorry that happened

the same thing happened to a client of mine. If and when the bank rejects it, they will send it back to the IRS and then the IRS will issue a check, 30 days after the direct deposit date. My client had the same issue with the wal-mart card, and I also had another client have her wal mart card canceled without reason, and her return will be rejected as well. the wal mart Debit card is trash. I advise most people to not have their returns sent to those. I hope this helped

my bank says my state is pending but I owe, student loans an haven't received anything from them, I don't know why it just shows on my bank account that my state is pending an nothing bout my federal i'm so post to get 10k on my fed,how will I know if it got intercepted